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4183.0 - Cultural Funding by Government, Australia, 2007-08 Quality Declaration 
Previous ISSUE Released at 11:30 AM (CANBERRA TIME) 28/08/2009   
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NOTES


ABOUT THIS PUBLICATION

This publication contains estimates of Australian public funding for arts and cultural activities, facilities and services across the three levels of government for 2007-08. Detailed expenditure by local governments for heritage and arts cultural activities, facilities and services is provided for the first time in this issue and is presented in a separate table in the data cube. For local governments, expenditure for the 2006-07 year has also been included.

The survey of Cultural Funding by Government, 2007-08 collected information on operational and capital expenditure by Australian and state government departments (including selected authorities, corporations and councils) for heritage and arts cultural activities, facilities and services. Funding data in this publication are aligned, where possible, with the categories specified in the Industry Classification of the Australian Culture and Leisure Classifications, Second edition (cat. no. 4902.0), released in 2008. Cultural activities have been classified into two major groups: Heritage; and the Arts.

Estimates reported at the Australian government, and state and territory government level are not comparable with previous years due to changes in methodology, scope and coverage of the collection. In previous years the estimates were compiled from administrative by-product data obtained by the Australian Bureau of Statistics (ABS) from annual reports and budget papers, and from information provided by selected Australian Government authorities and state and territory governments. For the 2007-08 year estimates have been compiled using information provided directly to the ABS via an electronic-form which was sent to all in-scope government departments (including selected agencies, authorities and corporations).

Local government funding data is obtained by the Australian Bureau of Statistics (ABS) from state and territory Local Government Grants Commissions data, or equivalent. The local government data is classified according to the Local Government Purpose Classification (LGPC) and not the Government Purpose Classification (GPC) as in previous years.


INQUIRIES

For further information about these and related statistics, contact the National Information and Referral Service on 1300 135 070.


SUMMARY COMMENTARY


CULTURAL FUNDING

Total government funding for cultural activities was $6.3 billion in 2007-08 ($6,311.4m). The Australian Government contributed $2,358.9m (37.4%) to total cultural funding while the state and territory governments contributed $2,952.2m (46.8%) and local governments provided $1,000.3m (15.8%).

Environmental heritage was the largest recipient of funds, with funding of over $1.4 billion ($1,466.4m) or 27.6% of total cultural funding from the Australian Government and state and territory governments combined. The other major recipient of Australian and state and territory government funding in 2007-08 was Radio and television services at over $1.3 billion ($1,355.0m) representing 25.5% of Australian and state government cultural funding. Libraries received $1,036.4m or 16.4% of total funding, including $653.4m from local government while Other museums and cultural heritage received $630.4m (10.0%).


OPERATIONAL AND CAPITAL EXPENDITURE

Operational expenditure refers mainly to expenditure on wages and salaries, purchases of goods and services, and current grants and subsidies. In 2007-08, operational expenditure was $5,535.1m or 87.7% of total cultural funding. The Australian Government allocated $2,176.5m (92.3%) of its cultural funding towards operational activity, whereas state and territory governments allocated $2,506.0m (84.9%) and local governments allocated $852.6m (85.2%).

Capital expenditure is primarily expenditure on the creation of fixed assets and on the acquisition of land, buildings and intangible assets. In any one year, the amount of funding for cultural activities can be affected by high levels of one-off capital expenditure. The total capital expenditure by all levels of government was $776.2m or 12.3% of total cultural funding in 2007-08. The majority of government capital expenditure came from the state and territory governments which outlaid $446.2m (57.5% of total capital funding) while the Australian government outlaid $182.4m (23.5%) and local governments spent $147.6m (19.0%).


FUNDING BY LEVEL OF GOVERNMENT

Australian Government

The Australian Government continues to allocate the majority of its cultural funding (75.8%) to Arts activities. In 2007-08 the Australian Government allocated $1,788.2m to Arts activities and $570.7m to Heritage activities. Radio and television services received the majority of Australian government Arts funding at $1,352.7m (75.6%) while Other museums and cultural heritage received the majority of Heritage funding at $232.3m (40.7%).

State and territory government

State and territory governments allocated $2,952.2m to funding heritage and arts in 2007-08. The state and territory governments expended the majority of their funds on Heritage with $2,266.3m (76.8%) of their total cultural funding in this area. Arts activities received $685.8m or 23.2% of the total cultural funding by the state and territory governments.

Across all categories, the largest recipient of state and territory government funding was Environmental heritage which received $1,345.4m, accounting for 45.6% of the total state and territory cultural funding. The highest proportion of total heritage funding allocated to Environmental heritage was in Western Australia (67.4%), followed by Queensland (65.3%), Victoria (61.2%) and South Australia (59.9%).

Other major recipients of state and territory cultural funding included Other museums and cultural heritage ($365.0m), Libraries ($317.6m), Performing arts venues ($235.2m) and Art museums ($178.2m). Of the states and territories, Tasmania had the highest proportion of cultural funding allocated to Heritage activities (90.0%) followed by the Northern Territory (88.7%). For total arts activities, Victoria had the highest proportion of total cultural funding (31.2%) followed closely by South Australia (30.5%).

STATE AND TERRITORY GOVERNMENT CULTURAL FUNDING, By Value of Funding - 2007-08
Graph: STATE AND TERRITORY GOVERNMENT CULTURAL FUNDING, By Value of Funding - 2007-08


Local government

In 2007-08, local government funding for cultural activities was $1000.3m, which was 15.8% of total cultural funding provided by all levels of government. This was an increase of $74.6m or 8.1% on 2006-07 when local government funding for cultural activities was $925.7m.

A majority of local government cultural funding (65.3%) was allocated to Libraries in 2007-08 ($653.4m). This was also the case in 2006-07 ($626.7m or 67.7%). Most public libraries are funded at the local government level, except in Tasmania, the Northern Territory and the Australian Capital Territory where libraries are mainly or solely funded by the state and territory governments. For 2007-08, South Australia had the highest proportion of local government funding for libraries (75.0%), followed by New South Wales (74.4%), Western Australia (67.6%), Victoria (59.8%) and Queensland (58.6%).


FUNDING PER PERSON

The amount of funding provided per person is calculated by dividing the amount of funding by the number of people in the relevant population. Per person cultural funding provided by all levels of government was $297.17 in 2007-08. The Australian Government per person contribution to cultural funding was $111.07 while the state and territory governments' contribution was $139.01 per person. Local government cultural funding was $47.10 per person in 2007-08.

STATE AND TERRITORY GOVERNMENT CULTURAL FUNDING, By $ Per Person - 2007-08
Graph: STATE AND TERRITORY GOVERNMENT CULTURAL FUNDING, By $ Per Person - 2007-08



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